The review of Net Profit Margin witnessed a fluctuating trend. The Net Profit Margin deteriorated from 22.95% in 2019 to 16.59% in 2023.
The average EBIT Margin for the period under analysis was 25.34%, with 2022 and 2020 performing the worst and best, respectively.
In the current year, Intuit was able to cover its interest liabilities 14.07 times in the current year- compared to 2019 when it was 126.40 times.
The Asset turnover stood at 0.52 times in 2023 from 1.16 in 2019, implying a high performance on Assets of the business in relation to revenue.
Profitability
The revenue of Intuit has increased year on year. The revenue increased by 13.19% between 2019 and 2020 and a further 32.11% increase was recorded between 2021 and 2022. There also occurred an increase of 12.90% between 2022 and 2023 (the current period).
Intuit’s performance in profitability looks good as the return on capital employed also recorded good performance during the period of analysis.
Liquidity
The company’s result in liquidity looks fair, as current ratio increased from 1.39:1 to 1.47:1 on the last year. Which implies that the company has enough assets to settle its current liabilities.
Capital Structure
Intuit is both equity and debt financed.
The debt-to-equity (D/E) ratio has been falling year on year. The gearing position of the company appears to be low as it stood at 38% in the current year.
